SDIC Power(SH:600886)2020-04-17 16:00Financial Performance - The company’s operating revenue for 2019 was CNY 42.43 billion, an increase of 3.47% compared to CNY 41.01 billion in 2018[18]. - The net profit attributable to shareholders for 2019 was CNY 4.76 billion, reflecting an 8.97% increase from CNY 4.36 billion in 2018[18]. - The net cash flow from operating activities reached CNY 20.35 billion, up 5.91% from CNY 19.22 billion in 2018[18]. - The total assets at the end of 2019 amounted to CNY 224.72 billion, a 1.82% increase from CNY 220.71 billion at the end of 2018[18]. - The basic earnings per share for 2019 was CNY 0.6705, representing a 7.18% increase from CNY 0.6256 in 2018[19]. - The company achieved operating revenue of 42.43 billion RMB, a year-on-year increase of 3.47%[42]. - Operating costs amounted to 25.85 billion RMB, reflecting a year-on-year growth of 5.78%[42]. - Net profit attributable to shareholders reached 4.76 billion RMB, up 8.97% compared to the previous year[41]. - Basic earnings per share increased to 0.6705 RMB, representing a growth of 7.18%[41]. - The total assets as of December 31, 2019, were 224.72 billion RMB, an increase of 4.01 billion RMB from the beginning of the year[41]. - The company's debt-to-asset ratio improved to 66.89%, a decrease of 1.31 percentage points from the previous year[41]. Dividend Policy - The board of directors proposed a cash dividend of RMB 0.2453 per share, totaling approximately RMB 1.66 billion, which accounts for 35% of the net profit attributable to shareholders for the year[4]. - The company has a cash dividend policy that mandates a minimum of 30% of the average distributable profit over the last three years to be distributed as cash dividends[98]. - In 2019, the company distributed a total cash dividend of approximately RMB 1.66 billion, representing 35% of the net profit attributable to ordinary shareholders[100]. - The company has committed to maintaining a stable profit distribution policy, with cash dividends constituting at least 80% for mature stages without major capital expenditures[98]. Risk Management - The company has established a comprehensive risk management framework to address potential challenges in its future development[6]. - The company has a strong risk management framework, focusing on internal control, audit supervision, and compliance management to mitigate operational risks[39]. - The company has analyzed potential risks that may impact its operations and development, as detailed in the report[6]. - The company faces risks related to electricity market competition, price fluctuations, and environmental regulations, which it plans to address through strategic measures[90][91][93]. - The company has established measures to mitigate risks associated with extreme weather and natural disasters affecting hydropower generation[96]. Operational Performance - The total installed capacity of the company and its subsidiaries is a key metric for operational performance, reflecting the company's generation capabilities[10]. - The company’s core business, power generation, accounted for over 95% of total revenue, indicating a strong focus on this sector[25]. - The total installed power generation capacity in China reached 2.01 billion kilowatts by the end of 2019, with a year-on-year growth of 5.8%[26]. - Clean energy accounts for 55.52% of the company's installed capacity, with hydropower making up 49.21% of the total[30]. - The company completed the acquisition of two renewable energy projects totaling 240,000 kW of installed capacity in 2019, enhancing its renewable energy portfolio[35]. - The company achieved a stable increase in operating performance, completing its annual work tasks and generating substantial profits for shareholders[34]. - The total power generation reached 162.327 billion kWh, a year-on-year increase of 7.03%[63]. - The total sales volume of electricity was 15,738,887.76 MWh, reflecting a year-on-year growth of 6.92%[66]. - The company has 485 MW of installed capacity under construction as of the end of 2019[68]. Environmental and Social Responsibility - The company’s coal-fired power plants are classified as key pollutant discharge units, with all emissions meeting national and regional standards[129]. - The company has increased the blending ratio of coal gangue and coal slurry to 83%, addressing environmental pollution issues[128]. - The company reported a cumulative expenditure of 15,222.73 million RMB on targeted poverty alleviation efforts, helping 1,728 registered impoverished individuals to escape poverty by December 31, 2019[123]. - The company invested 418.25 million RMB in eight industrial development poverty alleviation projects, benefiting 886 registered impoverished individuals[125]. - The company allocated 24.53 million RMB to support 319 impoverished students through educational assistance programs[125]. - The company has established a garbage disposal station in a local village, investing 30,000 yuan to support environmental sanitation efforts[128]. - The company has implemented emergency response plans for environmental incidents as per national and local regulations[131]. Corporate Governance - The company emphasizes the importance of accurate financial reporting, ensuring the integrity of its annual report[3]. - The company has a structured process for determining the remuneration of senior management, which is reviewed by the remuneration and assessment committee before board approval[157]. - The company has established a clear governance structure for its board and management, ensuring accountability and transparency[157]. - The company has undergone changes in its board members, with new appointments and resignations due to work changes and term expirations[158]. - The company has maintained a good credit status with no significant debts unpaid during the reporting period[111]. - The company has not reported any risks identified by the supervisory board during the reporting period[172]. Audit and Compliance - The company reported a standard unqualified audit opinion from Lixin Certified Public Accountants[3]. - The company’s audit team is led by a senior audit director, ensuring compliance and oversight[154]. - The company has a dedicated audit department responsible for evaluating financial performance and compliance[154]. - The audit report emphasizes the importance of assessing the recoverability of accounts receivable, which is a key audit matter[191]. - The company has not disclosed any significant defects in internal control during the reporting period[174]. Investment and Financing - The company plans to raise CNY 6.7 billion through domestic financing in 2020, including public bond issuance[88]. - The company issued bonds totaling 120,000 million RMB in June 2019, with a maturity date of June 12, 2029, and an interest rate of 4.59%[177]. - The company has a total of 70,000 million RMB in outstanding bonds from the 2016 first phase bond issuance, maturing on October 27, 2021, with an interest rate of 3.10%[177]. - The company has fully utilized the proceeds from its bond issuances for purposes such as repaying bank loans and supplementing working capital[179]. Employee and Management - The total number of employees in the parent company is 100, while the total number of employees in major subsidiaries is 9,274, resulting in a combined total of 9,374 employees[160]. - The company emphasizes a performance-based salary policy, ensuring that salary growth aligns with economic benefits, and focuses on key technical positions and frontline employees[163]. - In 2019, a total of 343 employees participated in various training programs to enhance talent reserves and align with the company's strategic development needs[164]. - The company conducted a six-month international talent training program, training 94 participants in various professional fields related to international engineering projects[165].